Electronic Controls and Communications
The Global Challenge Of Strategic
Standardization Management
Alec McMillan
Rockwell Automation
Director , Global Standards & Trade
March 23rd 1999
Agenda
•
•
•
Who is Rockwell
Market Trends
International Standards, and
One-Standard-One-Test-One-Mark
•
Components Of A Standards Strategy
2
Rockwell
An electronic controls and communications company holding leadership
positions in its global markets
Industrial automation controls —
#1 in North America
Avionics & communications
equipment — used by every
major airline worldwide
Leading supplier of
customer call center systems
3
A Family of Brands
More than
350,000
industrial
control
and system
solutions
Additional
150,000
motor- and
control-based
solutions
Mechanical
power
transmission
equipment
4
Programming,
man-machine
interface,
communication
and component
software
solutions
Wide Range of Industries
Forest Products
Printing
Automotive
Oil & Gas/HPI
Cement
Machine Tool
Transit
Semiconductor/
Electronics
Material
Handling
Packaging
Applications
Food & Beverage
Metals
HVAC
Entertainment
Water/
Transmission/
Wastewater Distribution
5
Fibers
Tires
Mining
Packaged Goods
Power
Pharmaceuticals/
Generation
Health Care
Hierarchy of Rockwell Participation
MGMT
First Priority
STANDARDS
OVERSIGHT
Commercial
Participation
TC
SC
AG
SC
WG
Only when commercially justified
WRITING OF
DRAFT STANDARDS
Technical
Participation
SC
WG
6
TF
TF
WG
WG
WG
Important Benefits
Important benefits to Rockwell available only through participation in the
standards and certification processes worldwide:
• Uninterrupted product flow
• Prevent product obsolesce
• Determine the content of the standard by influencing the definition of:
• Intended purpose
• Conformance criteria - Certification
• Early warning
• technology transfer & market cooperation
• Rate of standards development
• And, as described in to IEC/ISO Guide 2, determine the attributes of
the standard by influencing standard content on subjects of –
• Variety control
• Interchangeability
• Compatibility
• Economic performance, Usability
• Mutual understanding •Trade, removal of NTBT
• Protection of the environment, Health and Safety
7
Public Standards Participation
ISO
IEC
NEMA
IEEE
CELELEC
EEMAC
EIA
CANENA
NCMS
DIN
ISA
VDE
ANSI
BSI
NARM
SCC
ASTM
CSA
U.L.
8
NFPA
Resource Deployment
Industry
Standards
Product
Regulations
International
North
America
Latin
America
Europe
Asia-Pacific
Safety
9
Conformity
Assessment
Trade Policy
Agenda
•
•
•
Who is Rockwell
Market Trends
International Standards, and
One-Standard-One-Test-One-Mark
•
Components Of A Standards Strategy
10
Some Key Trends & Forces
• Products & Technology
– Open System and System Accessibility
– Merging Technologies
– Integrate control and information
– Integrate communications - -LAN/WAN wire and wireless
– Focus shifting from products to solutions
• Product Regulations & Market Needs
–
–
–
–
–
A standard is only as good as the market it protects
Intentional restriction of Conformity Marks availability
Trade Agreements and Customs Unions controlling product flow
“Worse regional case” will become global minimum
PAC-Rim and LA are maturing their regulatory systems
11
Some Key Trends & Forces
• Regionalization of Trade is increasing
(representative listing):
– Mega-Regions: APEC, FTAA
– Multi-National Regions: EU, MERCOSUR, ASEAN
– Inter-regional Agreements: MERCOSUR and EU
12
Some Key Trends & Forces
• Expanding Markets - Western Hemisphere & Pacific Rim
– Opening of previously closed markets (e.g., Mexico, China)
– Largest market growth potential
• Regionalization of Standards Activities is Increasing
– Each regional trade group has at least one regional standards
group
– MERCOSUR MERCOSUR Committees
– EU
CEN, CENELEC, ETSI . . .
– NAFTA
NAFTA Committees, CANENA
•
IEC Continues to be Perceived as Euro-Centric
13
Some Key Trends & Forces
• Increasing Demand for Bilateral (trade) Agreements
– Most common is the recognition of certification systems MRAs
– Only in EU under regional control
– Many use template (e.g., APEC)
• Proliferation of 3rd-party Certification
– Proliferation of regional/international accreditors of certification
schemes
– Proliferation of national 3rd-party certification schemes
– Proliferation of national product conformance marks
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Enhancing Market Share Opportunities
What standards
should the
product comply
with?
Marketing
Design
Engineering
What technology
meets the
standard?
What standards
should the
process follow?
What regional
marks are
needed?
Manufacturing
Commercial
Services
Quality
Assurance
What tests are
required to selfcertify per
conformity rules?
System
Integrators
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What are the
safety-related
system
standards?
Are there
region specific
regulations?
Regulatory
Environment
Customer
Prefers a safe, reliable,
high-quality, costeffective product that
meets industry
standards !
Standardization Across the Supply Chain
Component
& Equipment
Suppliers to
Automation
Vendors
Raw
materials
& fuels
Electronic Commerce, Customs, Marking, and
Other Regulatory Standards
Components &
Services
Materials &
equipment
Utilities,
Equipment &
Materials
Suppliers
Safety, Environmental, and
Quality Standards
Supplier of
Automation
Products
Automation
Vendor
Products
& Services
Product, System,
Application, and
Industry Standards
Users of
Industrial
Automation
Products
Customer
Products
& Services
Raw materials, fuels &
equipment
Material, Component, Design,
Manufacturing, and Distribution Standards
16
Consumers
Agenda
•
•
•
Who is Rockwell
Market Trends
International Standards, and
One-Standard-One-Test-One-Mark
•
Components Of A Standards Strategy
17
International Standards
• WTO definition by international trade
– Definition by trade use
– Not by source of standard, name of SDOs
• Single standard solutions do not reflect reality
• Need for regional and national ability to make
deviations and common modifications (for health,
safety, environment)
• Withdrawal of national conflicting standards
• Considering the actual commerce in world trade - • Why can’t the IEC adopt the de jure and de facto
standards existing in other nations and regions of
the world?
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One Test, Suppliers Declaration of
Conformity and One Mark
• One “international accepted” standard
• One Test means executed once, accepted everywhere
• Supplier’s Declaration of Conformance includes choice of
3rd party test and certification
– Objective to minimize government involvement
– IECEE CB Scheme can be altered to facilitate the one-test-onemark operating as a full, global Conformity Assessment scheme
that is recognized and used in both none-regulated and regulated
product verification.
• One Mark requires certification records be maintained in a
public file, may also be on/with the product
19
Agenda
•
•
•
Who is Rockwell
Market Trends
International Standards, and
One-Standard-One-Test-One-Mark
•
Components Of A Standards Strategy
20
Strategy Definition
• Key Customers, Markets, and Business drivers
• Objectives and Approach
– By Industry
– By Business
– By Technology
• Assess current standards position
–
–
–
–
Business focus ( strategic, operational/tactical)
Success factor (critical, necessary, nominal)
Standards Participation (lead, influence, observe)
Standards Participation Investments ( time, expenses)
• Business Plan Integration
– Impact areas- product, process, procedure
– Key benefits and risks
– Near term and long term plans
21